No Experience, No Problem!

In an ever-evolving financial landscape, the need for fresh talent in the financial planning profession is paramount.

Research from Opinium states that three quarters of IFAs are planning to retire in the next decade - 31% in the next two to five years - raising concerns there could be insufficient adviser numbers in the future, it is crucial therefore to encourage younger generations to explore a career in financial planning.

However, many graduates and second careerists face a daunting challenge when trying to enter the financial planning profession: the age-old catch-22 of needing experience to get a job but needing a job to gain experience.

Let’s pivot the perspective and explore why "no experience" isn’t a problem and instead how it could be the solution!

A fresh mind and enthusiasm

While experienced professionals may come with preconceived notions and habits, individuals with no prior experience in financial planning are like clay waiting to be moulded. Employers have the opportunity to shape them into the ideal professionals for their organisation, instilling company values and practices from the ground up.

Graduates and second careerists often come equipped with a strong desire to learn and grow. They are hungry for knowledge and eager to prove themselves in their new roles. This enthusiasm can translate into a workforce that is open to training and development, making them a valuable asset to your team.

They also typically command lower starting salaries compared to experienced professionals. This can be a cost-effective way for firms to bring in fresh talent and build a strong foundation for the future. Investing in training and development, can pay off in the long run as your graduates and second careerists become skilled professionals within your organisation.

Fostering new talent with a no prior experience approach seems to be working for the team at Clear Cut Financial Planning through their Graduate programme, which has now been running successfully for 10-years. During their chat with Gretchen, in the FFEM September show, guests, Jane and Charlotte, discussed the benefits of their graduate scheme, how it all started, and the importance of two chair meetings in their approach to teaching and succession planning.

I wanted to delve a little deeper into the merits of the Two-Chair approach and how this approach can pave the way for a brighter future in the financial planning profession.

Two Chair meetings

Two-Chair Financial Planning Meetings introduce new talent to the world of financial planning through a unique mentorship structure. The term "two chairs" refers to the presence of both a seasoned financial planner and a young recruit, creating an ideal platform for knowledge transfer and real-world exposure.

Financial planning is not just about numbers and spreadsheets; it involves understanding people's dreams, aspirations, and financial goals. Two-Chair Meetings emphasize the importance of holistic learning. Graduates can learn facts and regulations through traditional methods and exams; on the other hand, a two-chair meeting not only teaches your graduate or second careerist about your in-house investment strategies but also helps develop soft skills such as communication, empathy, and problem-solving. These skills are invaluable when dealing with clients and building trust.

Every graduate has their unique strengths and interests. Two-Chair Meetings allow them to explore various aspects of financial planning, from retirement planning to estate management. This exposure helps your new recruits identify their niche within the profession and shape their career accordingly. It ensures that they are not confined to a one-size-fits-all approach but can pursue a path that aligns with their passions.

Two-chair meetings also have the advantage of introducing your new talent to your clients, and in time this can facilitate succession planning and create a seamless experience for your client.

By hiring individuals with no experience, you are making a long-term investment in your company's future. You have the opportunity to groom them into loyal, dedicated professionals who can grow with your organization, reducing turnover rates and ensuring continuity.

While it may seem counterintuitive, hiring graduates and second careerists with no prior experience in financial planning can be a smart move for your company. Their willingness to learn, adaptability, fresh perspectives, and cost-effectiveness make them valuable assets that can help your organisation thrive in an ever-changing financial landscape. So, the next time you're considering your hiring options, remember: "No experience, no problem!" These individuals may just be the key to your company's success.